5%of the loan amount, charged up front, on loans that never existed
One Nevada fake-lender scheme charged small-business owners up to 5% of the requested loan as an advance fee, on loans often above $100 million.
Prosecutors say the shell companies then sent doctored bank statements and stalling excuses. The operator pleaded guilty and was sentenced to 120 months.
Source: KOLO 8 News Now. Read more: advance fee loan scam · case file